WASHINGTON: After US President Barack Obama agreed to declare the Haqqani network a foreign terrorist organisation, the sanctions have now come into force on Wednesday, The Associated Press (AP) reported.
The group is allegedly based in Pakistan.
Earlier, Secretary of State Hillary Clinton had signed a report to Congress saying the network met criteria for a terrorist designation.
The ban would result in freezing assets the group or its members have within US jurisdictions, while Americans would not be allowed to do business with them.
The Haqqanis run a sophisticated and diverse financial network comparable to a mafia group, according to a July report by the Centre for Combating Terrorism.
It said the group raised money through kidnapping, extortion and drug trafficking but also had a business portfolio that included import/export, transport, real estate and construction interests in Afghanistan, Pakistan and the Persian Gulf.